Ethanol output dips but stays strong, Gulf stock build might signal export growth
U.S. ethanol production eased slightly over the past week.
The U.S. Energy Information Administration says production averaged 1.091 million barrels per day, down 21,000 from the near one-year high hit the previous week, but up 9,000 from a year ago as producers try to meet expected demand.
Ethanol stocks of 22.367 million barrels rose 448,000 on the week and 596,000 on the year, but most of that build was at storage facilities on the Gulf, which usually signals export improvements. That's the first time in five weeks the domestic supply has moved higher.
Ethanol exports did average 175,000 barrels per day, an increase of 45,000 from the week before and 115,000 from last year.
Iowa State University's Center for Agricultural and Rural Development says estimated operating margins at the average Iowa plant were slightly tighter, but still firmly in positive territory.
The EIA will continue to issue weekly ethanol numbers until further notice during this partial shutdown of the federal government.